MITEK SYSTEMS INC (MITK) Stock Fundamental Analysis
USA - NASDAQ:MITK - US6067102003 - Common Stock
10.28 USD
+0.09 (+0.88%)
10.28 USD
0 (0%)
MITK gets a fundamental rating of 5 out of 10. The analysis compared the fundamentals against 279 industry peers in the Software industry. MITK has only an average score on both its financial health and profitability. MITK is valued quite cheap, while showing a decent growth score. This is a good combination!
1. Profitability
1.1 Basic Checks
In the past year MITK was profitable.
In the past year MITK had a positive cash flow from operations.
In the past 5 years MITK has always been profitable.
MITK had a positive operating cash flow in each of the past 5 years.
1.2 Ratios
MITK has a Return On Assets of 3.47%. This is in the better half of the industry: MITK outperforms 69.53% of its industry peers.
The Return On Equity of MITK (6.53%) is better than 70.97% of its industry peers.
Looking at the Return On Invested Capital, with a value of 4.29%, MITK is in the better half of the industry, outperforming 72.40% of the companies in the same industry.
Measured over the past 3 years, the Average Return On Invested Capital for MITK is significantly below the industry average of 11.86%.
The 3 year average ROIC (3.13%) for MITK is below the current ROIC(4.29%), indicating increased profibility in the last year.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 3.47% | ||
| ROE | 6.53% | ||
| ROIC | 4.29% |
ROA(3y)1.2%
ROA(5y)2.02%
ROE(3y)2.4%
ROE(5y)3.45%
ROIC(3y)3.13%
ROIC(5y)3.83%
1.3 Margins
MITK's Profit Margin of 8.71% is fine compared to the rest of the industry. MITK outperforms 71.68% of its industry peers.
MITK's Profit Margin has declined in the last couple of years.
Looking at the Operating Margin, with a value of 12.33%, MITK is in the better half of the industry, outperforming 77.78% of the companies in the same industry.
MITK's Operating Margin has declined in the last couple of years.
The Gross Margin of MITK (85.59%) is better than 93.19% of its industry peers.
MITK's Gross Margin has been stable in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 12.33% | ||
| PM (TTM) | 8.71% | ||
| GM | 85.59% |
OM growth 3Y-43.97%
OM growth 5YN/A
PM growth 3Y-34.17%
PM growth 5YN/A
GM growth 3Y-0.79%
GM growth 5Y0.08%
2. Health
2.1 Basic Checks
MITK has a Return on Invested Capital (ROIC), which is below the Cost of Capital (WACC), which means it is destroying value.
The number of shares outstanding for MITK has been reduced compared to 1 year ago.
Compared to 5 years ago, MITK has more shares outstanding
The debt/assets ratio for MITK is higher compared to a year ago.
2.2 Solvency
MITK has an Altman-Z score of 1.89. This is not the best score and indicates that MITK is in the grey zone with still only limited risk for bankruptcy at the moment.
MITK has a Altman-Z score of 1.89. This is comparable to the rest of the industry: MITK outperforms 44.80% of its industry peers.
The Debt to FCF ratio of MITK is 2.74, which is a good value as it means it would take MITK, 2.74 years of fcf income to pay off all of its debts.
With a decent Debt to FCF ratio value of 2.74, MITK is doing good in the industry, outperforming 64.52% of the companies in the same industry.
A Debt/Equity ratio of 0.64 indicates that MITK is somewhat dependend on debt financing.
Looking at the Debt to Equity ratio, with a value of 0.64, MITK is doing worse than 69.18% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.64 | ||
| Debt/FCF | 2.74 | ||
| Altman-Z | 1.89 |
ROIC/WACC0.42
WACC10.18%
2.3 Liquidity
A Current Ratio of 1.14 indicates that MITK should not have too much problems paying its short term obligations.
With a Current ratio value of 1.14, MITK is not doing good in the industry: 66.31% of the companies in the same industry are doing better.
A Quick Ratio of 1.14 indicates that MITK should not have too much problems paying its short term obligations.
MITK has a Quick ratio of 1.14. This is in the lower half of the industry: MITK underperforms 64.87% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.14 | ||
| Quick Ratio | 1.14 |
3. Growth
3.1 Past
The Earnings Per Share has grown by an impressive 35.90% over the past year.
Measured over the past years, MITK shows a quite strong growth in Earnings Per Share. The EPS has been growing by 17.42% on average per year.
MITK shows a small growth in Revenue. In the last year, the Revenue has grown by 6.98%.
Measured over the past years, MITK shows a quite strong growth in Revenue. The Revenue has been growing by 15.26% on average per year.
EPS 1Y (TTM)35.9%
EPS 3Y8.58%
EPS 5Y17.42%
EPS Q2Q%-12%
Revenue 1Y (TTM)6.98%
Revenue growth 3Y12.83%
Revenue growth 5Y15.26%
Sales Q2Q%1.67%
3.2 Future
Based on estimates for the next years, MITK will show a small growth in Earnings Per Share. The EPS will grow by 5.65% on average per year.
Based on estimates for the next years, MITK will show a small growth in Revenue. The Revenue will grow by 5.84% on average per year.
EPS Next Y-4.02%
EPS Next 2Y6.79%
EPS Next 3Y5.65%
EPS Next 5YN/A
Revenue Next Year3.23%
Revenue Next 2Y5.36%
Revenue Next 3Y5.84%
Revenue Next 5YN/A
3.3 Evolution
When comparing the EPS growth rate of the last years to the growth rate of the upcoming years, we see that the growth is decreasing.
The Revenue growth rate is decreasing: in the next years the growth will be less than in the last years.
4. Valuation
4.1 Price/Earnings Ratio
A Price/Earnings ratio of 9.70 indicates a reasonable valuation of MITK.
MITK's Price/Earnings ratio is rather cheap when compared to the industry. MITK is cheaper than 90.32% of the companies in the same industry.
The average S&P500 Price/Earnings ratio is at 27.41. MITK is valued rather cheaply when compared to this.
MITK is valuated reasonably with a Price/Forward Earnings ratio of 9.39.
MITK's Price/Forward Earnings ratio is rather cheap when compared to the industry. MITK is cheaper than 92.11% of the companies in the same industry.
When comparing the Price/Forward Earnings ratio of MITK to the average of the S&P500 Index (22.87), we can say MITK is valued rather cheaply.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 9.7 | ||
| Fwd PE | 9.39 |
4.2 Price Multiples
MITK's Enterprise Value to EBITDA ratio is rather cheap when compared to the industry. MITK is cheaper than 94.62% of the companies in the same industry.
Based on the Price/Free Cash Flow ratio, MITK is valued cheaper than 97.13% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 8.41 | ||
| EV/EBITDA | 6.86 |
4.3 Compensation for Growth
MITK has a very decent profitability rating, which may justify a higher PE ratio.
PEG (NY)N/A
PEG (5Y)0.56
EPS Next 2Y6.79%
EPS Next 3Y5.65%
5. Dividend
5.1 Amount
MITK does not give a dividend.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
10.28
+0.09 (+0.88%)
Chartmill FA Rating
GICS SectorInformation Technology
GICS IndustryGroupSoftware & Services
GICS IndustrySoftware
Earnings (Last)
Earnings (Next)
Inst Owners77.26%
Inst Owner Change0.88%
Ins Owners2.14%
Ins Owner Change1.06%
Market Cap469.28M
Analysts81.67
Price Target13.26 (28.99%)
Short Float %4.22%
Short Ratio4.88
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
Yearly DividendN/A
Dividend Growth(5Y)N/A
DPN/A
Div Incr Years0
Div Non Decr Years0
Ex-DateN/A
Surprises & Revisions
EPS beat(2)2
Avg EPS beat(2)25.57%
Min EPS beat(2)14.53%
Max EPS beat(2)36.62%
EPS beat(4)4
Avg EPS beat(4)35.26%
Min EPS beat(4)1.42%
Max EPS beat(4)88.46%
EPS beat(8)5
Avg EPS beat(8)13.54%
EPS beat(12)8
Avg EPS beat(12)16.86%
EPS beat(16)12
Avg EPS beat(16)17.43%
Revenue beat(2)2
Avg Revenue beat(2)4.55%
Min Revenue beat(2)1.85%
Max Revenue beat(2)7.26%
Revenue beat(4)4
Avg Revenue beat(4)3.14%
Min Revenue beat(4)0.88%
Max Revenue beat(4)7.26%
Revenue beat(8)4
Avg Revenue beat(8)-0.56%
Revenue beat(12)7
Avg Revenue beat(12)3%
Revenue beat(16)9
Avg Revenue beat(16)3.17%
PT rev (1m)0%
PT rev (3m)0%
EPS NQ rev (1m)0%
EPS NQ rev (3m)-1.95%
EPS NY rev (1m)0%
EPS NY rev (3m)2.65%
Revenue NQ rev (1m)0%
Revenue NQ rev (3m)-4.19%
Revenue NY rev (1m)0%
Revenue NY rev (3m)-0.04%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 9.7 | ||
| Fwd PE | 9.39 | ||
| P/S | 2.63 | ||
| P/FCF | 8.41 | ||
| P/OCF | 8.24 | ||
| P/B | 1.98 | ||
| P/tB | 7.94 | ||
| EV/EBITDA | 6.86 |
EPS(TTM)1.06
EY10.31%
EPS(NY)1.09
Fwd EY10.65%
FCF(TTM)1.22
FCFY11.89%
OCF(TTM)1.25
OCFY12.14%
SpS3.9
BVpS5.2
TBVpS1.29
PEG (NY)N/A
PEG (5Y)0.56
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 3.47% | ||
| ROE | 6.53% | ||
| ROCE | 8.86% | ||
| ROIC | 4.29% | ||
| ROICexc | 7.39% | ||
| ROICexgc | 32.57% | ||
| OM | 12.33% | ||
| PM (TTM) | 8.71% | ||
| GM | 85.59% | ||
| FCFM | 31.33% |
ROA(3y)1.2%
ROA(5y)2.02%
ROE(3y)2.4%
ROE(5y)3.45%
ROIC(3y)3.13%
ROIC(5y)3.83%
ROICexc(3y)4.74%
ROICexc(5y)6.29%
ROICexgc(3y)31.43%
ROICexgc(5y)27.46%
ROCE(3y)4.04%
ROCE(5y)4.94%
ROICexcg growth 3Y-20.78%
ROICexcg growth 5YN/A
ROICexc growth 3Y-40.5%
ROICexc growth 5YN/A
OM growth 3Y-43.97%
OM growth 5YN/A
PM growth 3Y-34.17%
PM growth 5YN/A
GM growth 3Y-0.79%
GM growth 5Y0.08%
F-Score7
Asset Turnover0.4
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.64 | ||
| Debt/FCF | 2.74 | ||
| Debt/EBITDA | 4.01 | ||
| Cap/Depr | 7.33% | ||
| Cap/Sales | 0.66% | ||
| Interest Coverage | 18.76 | ||
| Cash Conversion | 149.79% | ||
| Profit Quality | 359.8% | ||
| Current Ratio | 1.14 | ||
| Quick Ratio | 1.14 | ||
| Altman-Z | 1.89 |
F-Score7
WACC10.18%
ROIC/WACC0.42
Cap/Depr(3y)7.2%
Cap/Depr(5y)9.44%
Cap/Sales(3y)0.74%
Cap/Sales(5y)0.83%
Profit Quality(3y)714.7%
Profit Quality(5y)578.49%
High Growth Momentum
Growth
EPS 1Y (TTM)35.9%
EPS 3Y8.58%
EPS 5Y17.42%
EPS Q2Q%-12%
EPS Next Y-4.02%
EPS Next 2Y6.79%
EPS Next 3Y5.65%
EPS Next 5YN/A
Revenue 1Y (TTM)6.98%
Revenue growth 3Y12.83%
Revenue growth 5Y15.26%
Sales Q2Q%1.67%
Revenue Next Year3.23%
Revenue Next 2Y5.36%
Revenue Next 3Y5.84%
Revenue Next 5YN/A
EBIT growth 1Y523.73%
EBIT growth 3Y-36.78%
EBIT growth 5YN/A
EBIT Next Year20.88%
EBIT Next 3Y18.43%
EBIT Next 5YN/A
FCF growth 1Y48.45%
FCF growth 3Y-5.59%
FCF growth 5Y18.06%
OCF growth 1Y48.2%
OCF growth 3Y-5.32%
OCF growth 5Y17.33%